Trading in Toronto equity markets betrayed a kind of caution as investors are hoping fourth-quarter earnings and macroeconomic factors will justify a big jump in U.S. markets
Accordingly, the S&P/TSX composite index slipped 6.52 points to begin the week at 13,542.34
The Canadian dollar was positive 0.31 cents to 93.72 cents U.S.
Quarterly earnings in Canada lag the U.S. by a few weeks. The major TSX-listed report next week comes from Quebec-based drugstore chain Jean Coutu. Analysts expect adjusted earnings of 28 cents a share. Coutu shares opened Monday up 13 cents to $18.58.
Elsewhere on the corporate front, Valeant Pharmaceuticals International Inc. one of Canada's largest life sciences companies, will provide its financial guidance for 2014 on Tuesday. The company, which has its headquarters in Laval near Montreal, has been growing rapidly through numerous acquisitions in recent years. Valeant shares dropped 34 cents to $124.28.
In early Monday trading, gold stocks fared best, with Detour Gold zooming 36 cents, or 7.3%, to $5.30. Barrick Gold shares leaped 32 cents, or 1.7%, to $19.63.
Economically speaking this morning, Statistics Canada reported this morning that its industrial product price index edged up 0.1% in November, compared to a market call for a figure that was 0.1% lower, mainly because of higher prices for motorized and recreational vehicles.
The agency’s raw materials price index dropped 4.1% in the same month, compared to a market call for a loss of 1.5%, weighed mostly by by crude energy products.
Canadian job numbers for December come out on Friday. At least one expert said he expects job creation to come in at about 10,000 for the month, below market consensus of 13,000 jobs.
ON BAYSTREET
The TSX Venture Exchange gained 3.51 points to 948.22
The 14 TSX subgroups were evenly split between gainers and losers, as gold shares moved 1.4% higher, materials 0.8% better, and health-care, 0.7% more robust.
The seven laggards were weighed mostly by telecoms, down 0.6%, while financials and global base metals each declined 0.2%.
ON WALLSTREET
Stocks were flat in early trading Monday as investors kicked off the first full week of the year.
The Dow Jones industrial average added 28.64 points to open Monday at 16,469.99
The S&P 500 index dipped 0.61 points to 1,831.33. The NASDAQ began the day negative 11.16 points to 4,131.91.
In corporate news, Men's Wearhouse launched a hostile bid for rival suit seller Jos. A. Bank. After a series of friendly offers and counter offers, Men's Wearhouse made a $1.6-billion U.S. cash offer and notified that it will nominate two members for its board of directors.
Liberty Media Corporation unveiled a complex proposal to take full control of satellite radio company Sirius XM Holdings by swapping stock. Liberty already owns a controlling stake in Sirius, but one analyst said the move is linked to a potential deal between cable companies Charter Communications and Time Warner Cable.
Charter, which Liberty also owns a stake in, has reportedly been in talks with major banks to borrow money to fund a possible bid for Time Warner Cable.
After starting the year with a lackluster performance last week, stocks could continue to tread water in the run-up to Friday's big jobs report.
Investors are also awaiting the release of minutes from the Federal Reserve's December meeting, when it announced plans to trim its monthly bond purchases by $10 billion to $75 billion U.S., beginning this month.
Prices for 10-year U.S. Treasuries gained strength, lowering yields to 2.98% from Friday’s 3%. Treasury prices and yields move in opposite directions.
Oil prices were unchanged at $93.96 U.S. a barrel.
Gold prices added $2.90 to $1,241.50 U.S. an ounce.
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